With the rise of globalization and the Internet, the way we shop has changed drastically. The rise of e-commerce has broken down barriers, allowing businesses and consumers to connect across borders like never before. Companies that once focused only on local markets now have the opportunity to reach a global audience, and consumers can easily access products from different countries with just a few clicks.
If you have any doubts that international e-commerce and selling globally is a significant opportunity for your business, just look at the numbers:
- Global e-commerce sales will account for $6.3 trillion in 2024, reflecting an 8.8% increase from 2023.
- The Asia-Pacific (APAC) e-commerce market is set to grow significantly, with an estimated market size of $4.2 trillion in 2024, projected to reach $6.76 trillion by 2029, at a CAGR of 10%.
- 52% of online shoppers now report shopping internationally.
Consumers are no longer confined to local options; instead, they are exploring products and services from around the world, often seeking better prices, unique items, or brands they can’t find in their home country.
With these trends in mind, let’s explore what businesses can do to succeed in this growing field.
What Is International E-Commerce?
International e-commerce refers to selling products or services online to customers in different countries. Unlike traditional e-commerce, which focuses on domestic markets, international e-commerce involves handling cross-border transactions, multiple currencies, different payment methods, and navigating international shipping and regulations. It allows businesses to reach a global customer base by offering localized versions of their online stores, tailored to the language, culture, and preferences of specific markets.
With the help of e-commerce platforms like Shopify, businesses can easily set up and manage international stores, providing customers with a seamless shopping experience no matter where they are. This process involves adapting everything from website content and product catalogs to payment options and shipping policies to meet the needs of different global markets.
What Are the Benefits of International E-Commerce?
International e-commerce offers several key advantages that can help businesses grow and succeed on a global scale:
Increased Brand Visibility
Expanding into international markets allows businesses to enhance their global presence, reach a wider audience and establish their brand in new regions. This visibility is critical for companies aiming to compete on a global scale and build a strong reputation.
Expanded Customer Base
International e-commerce enables businesses to reach a much larger and more diverse customer base. By selling products or services in multiple countries, companies can tap into new markets and attract a broader range of potential buyers.
Testing New Markets
International e-commerce provides an opportunity for businesses to test the waters in new markets without the need to invest heavily in physical stores. By selling online to customers in different regions, companies can assess market demand and consumer preferences before committing to further expansion.
Best Practices for International E-Commerce
To succeed in international e-commerce, businesses must carefully plan and implement a strategy that targets a global audience. Here are some best practices to consider:
1. Identify Target Markets
Before launching your international e-commerce strategy, it’s important to identify the markets that are most promising for your business. Some countries, such as China and the United States, dominate the global e-commerce landscape, while others offer strong growth potential in emerging markets. By understanding the revenue and consumer behavior in these regions, businesses can focus their efforts on the most profitable opportunities.
Revenue of e-commerce worldwide in 2023, by country
| Country | Total e-commerce sales (2023) |
| China | $1,255.14 billion |
| United States | $1,065.68 billion |
| Japan | $151.03 billion |
| United Kingdom | $118.26 billion |
| Germany | $89.71 billion |
| South Korea | $78.04 billion |
| France | $60.59 billion |
| Canada | $58.69 billion |
| India | $50.94 billion |
| Indonesia | $45.13 billion |
2. Localize Your Website
76% of consumers prefer to buy products with information in their own language, so you need to adapt your website to suit the cultural and linguistic preferences of each market. This includes displaying prices in local currencies, offering regional shipping options, and adjusting visuals or messaging to resonate with the local audience. A localized website improves the user experience and builds trust, helping you better connect with international customers.
3. Offer Multiple Payment Options
Different regions have their own preferred payment methods, and offering a variety of payment options is essential to reducing cart abandonment and ensuring a smooth checkout experience. For example, Chinese consumers often use Alipay or WeChat Pay, while European shoppers might prefer credit cards or PayPal. Providing local currency options also makes the purchasing process more transparent and user-friendly, contributing to higher conversion rates.
4. Manage International Shipping and Taxes
International shipping can be complex, but offering clear and transparent shipping options, including delivery times and costs, helps manage customer expectations. Businesses should also be upfront about taxes and duties to avoid surprise fees for customers. Working with reliable shipping partners and using technology to track orders in real time can also improve the customer experience.
5. Ensure Compliance with Local Laws
Each country has its own legal requirements for e-commerce, including consumer protection, data privacy, and product regulations. Ensuring compliance with these laws is crucial to avoid legal issues or penalties. For example, businesses operating in the European Union must comply with the General Data Protection Regulation (GDPR), which governs how companies handle customer data. Staying up to date on local laws can help you maintain a strong reputation and avoid costly fines.
6. Provide Multilingual Customer Support
Providing customer support in multiple languages ensures that international customers feel understood and supported throughout their shopping experience. A multilingual support team can address customer inquiries or issues more effectively, improving satisfaction and fostering loyalty.
Related article: Multilingual Customer Support: What It Is & How to Do It
7. Tailor Marketing Campaigns
Successful international marketing requires tailoring your campaigns to the preferences and cultural context of each market. This might mean aligning promotions with local holidays or trends, such as Black Friday in the U.S. or Singles’ Day in China. By creating campaigns that resonate with local audiences, you increase your chances of engaging customers and driving sales. Brands like Coca-Cola often localize their marketing efforts, creating ads that cater specifically to the values and interests of each region they operate in.
International E-Commerce Examples to Learn From
Example 1. SHEIN
SHEIN, a Chinese fast-fashion retailer, has become a global e-commerce giant through its data-driven approach and localized strategy. The brand tailors its website for different regions, offering local currencies, languages, and payment methods. SHEIN’s ability to quickly adapt its product offerings based on local trends and customer preferences has allowed it to expand rapidly into markets across Europe, North America, and Asia. Additionally, its low-cost shipping options and targeted social media marketing have helped SHEIN build a loyal international customer base.
Example 2. Amazon
Amazon is a prime example of successful international e-commerce expansion. By creating dedicated websites for different countries, Amazon tailors its offerings to meet local demands and preferences. The company invests heavily in localized customer service, payment options, and logistics networks to ensure a seamless shopping experience. Amazon’s strategic acquisitions and partnerships in different regions have further strengthened its global presence and made it a trusted brand worldwide.
Take Your E-Commerce Business Global with EC Innovations
EC Innovations provides high-quality e-commerce translation and localization services in over 140 languages. Our dedicated team will customize every part of your e-commerce platform for your target market, from product descriptions and customer support to local payment methods. Contact us today to learn more about how EC Innovations can help you localize your online store for global customers.
